Single Bucket Strategy
Pre‑Tax 401(k)/Trad IRA Only (No Asset Location Planning)
|
Total Retirement Income |
$198,000 |
|
Standard Deduction |
−$30,000 |
|
Taxable Income |
$168,000 |
|
Federal Income Tax |
~$27,100 |
|
Effective Federal Tax Rate |
13.7% |
Three‑Bucket Strategy
Asset Location Planning
Income Mix: Pre‑Tax $66,000 | After‑Tax $66,000 | Tax‑Free $66,000
|
Total Retirement Income |
$198,000 |
|
Standard Deduction |
−$30,000 |
|
Taxable Income |
~$55,000 |
|
Federal Income Tax |
~$6,100 |
|
Effective Federal Tax Rate |
~3.1% |
Tax Impact
|
Tax (Pre‑Tax Only) |
~$27,100 |
|
Tax (Three Buckets) |
~$6,100 |
|
Estimated Annual Tax Difference |
~$21,000 |
Contact me today and let’s discuss.
Katie Blevins
512-202-2102 (cell) | 512-794-2300 (office)
Make an appointment at: www.katieblevins.com
Disclosure
Securities offered through Equitable Advisors, LLC (NY, NY 212-314-4600), member FINRA, SIPC (Equitable Financial Advisors in MI & TN). Annuity and insurance products offered through Equitable Network, LLC. Equitable Network conducts business in CA as Equitable Network Insurance Agency of California, LLC, in UT as Equitable Network Insurance Agency of Utah, LLC, in PR as Equitable Network of Puerto Rico, Inc. Equitable Advisors and Equitable Network are affiliated companies and do not provide tax or legal advice. Asset Allocation is a method of diversification which positions assets among major investment categories. This tool may be used in an effort to manage risk and enhance returns. However, it does not guarantee a profit or protect against a loss. Wimberley Living by Best Version Media is not owned by, operated by, affiliated with, and does not conduct the business of Equitable Advisors or its affiliates. AGE-8901246.1(05/26) (Exp.05/30)
For illustrative purposes only. Tax laws are subject to change and individual results will vary. Capital‑gains treatment depends on income, holding period, and applicable law. Policy loans are generally income‑tax‑free when structured properly.
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